CWM FX scandal continues as hero Gurkha soldiers hit by £50 million FX ponzi scheme

The web of fraud orchestrated by Anthony Constantinou, son of fashion tycon Aristos Constantinou who was shot dead in 1985, continues. Capital World Markets (CWM), the retail FX firm based in the City of London’s prestigious Heron Tower initially caught the attention of the City of London Police last year when the firm was the […]

Singapore_Gurkha_01

The web of fraud orchestrated by Anthony Constantinou, son of fashion tycon Aristos Constantinou who was shot dead in 1985, continues.

Capital World Markets (CWM), the retail FX firm based in the City of London’s prestigious Heron Tower initially caught the attention of the City of London Police last year when the firm was the subject of a raid by the Police, resulting in the arrest of 14 employees including CEO Mr. Constantinou on suspicion of fraud and money laundering.

Today marks another square peg in a round hole among London’s otherwise sophisticated FX and CFD firms, as CWM FX is now suspected of preying on one of the British Army’s most renowned specialist units, the Gurkhas.

The Gurkhas were traditionally a regiment within the British East India Company Army during the days of British India, and are of Nepalese origin, notably the foothills of the Himalayan mountain range.

In addition to keeping peace in India, Gurkhas fought in Syria, North Africa, Italy, Greece and against the Japanese in the jungles of Burma, northeast India and also Singapore. They did so with considerable distinction, earning 2,734 bravery awards in the process and suffering around 32,000 casualties in all theatres.

City of London Police now suspect that CWM has ripped off hundreds of hero Gurkha soldiers in a £50million Ponzi scam.

Detective Chief Insp Dave Manley has made a public statement on the matter:

“The evidence suggests that representatives of CWM targeted hundreds of members of the Gurkha and Nepalese community and exploited them to defraud millions of pounds.”

As part of the proposal which CWM made to its customers, the firm offered 5% a month interest from currency dealings.

Police say they have not found any money which was genuinely invested and believe the scheme was a Ponzi fraud, in which investors get small dividends before their money is stolen.

Detective Chief Inspector Manley continued:

“The harm caused to individuals, their families, their pension pots and life savings – at the moment is not being represented within the case. The story of how this has impacted and affected people needs to be told in the judicial process. It would be a shame for us to get to the next stage, and the level of harm that’s been caused to the community is not measured or part of the case.”

The Gurkha Welfare Trust is encouraging those who consider that they may have fallen victim to this scheme, to contact the Police, with a spokeseman from the Gurkha Welfare Trust having stated that this is the first time that it has been recorded that the Gurkhas and the Nepalese community has fallen victim to such a scheme.

Mr. Constantinou, who is also being investigated concerning his treatment of female employees at CWM, remains on Police bail.

Photograph: Gurkha soldiers on duty in Singapore compliments of Huaiwei

Read this next

Digital Assets

Binance claims Nigerian officials sought $150 million bribe

A Nigerian court has ruled that Tigran Gambaryan, a Binance executive detained on charges of tax evasion and money laundering, can stand trial on behalf of the world’s largest cryptocurrency exchange.

Digital Assets

Kraken reviews Tether listing in Europe ahead of MiCA adoption

Cryptocurrency exchange Kraken is “actively reviewing” whether to delist the stablecoin Tether (USDT) from its European platform, according to a report by Bloomberg.

blockdag

Discover How MoonBag Coin Presale Stacks Up Against Dogecoin & Litecoin

Discover how the MoonBag Coin presale compares to Dogecoin and Litecoin, with unique features, a robust presale structure, and new opportunities in 2024.

Fundamental Analysis, Market News, Tech and Fundamental

Global FX Market Summary: Federal Reserve Policy, USD, May 17 ,2024

Overall, both the Federal Reserve’s policy and the US dollar’s outlook are shrouded in some degree of uncertainty.

Market News, Tech and Fundamental, Technical Analysis

Ethereum Technical Analysis Report 17 May, 2024

Ethereum cryptocurrency can be expected to rise further toward the next resistance level 3200.00, which is the top of the previous impulse wave i.

Digital Assets

Hong Kong adopts digital yuan payments through Chinese banks

Hong Kong has launched a pilot program enabling digital yuan payments through major Chinese banks, marking the first instance of China’s digital currency project being deployed outside the mainland.

Retail FX

Saxo Bank increases client assets five-fold to $116 billion

Copenhagen-based broker Saxo Bank has achieved a major milestone, surpassing $116 billion (DKK 800 billion) in client assets.

Inside View

ISDA says US Basel III “endgame” to heighten market risk capital

ISDA further explained that, by requiring banks to hold additional capital that is misaligned with levels of risk, the proposal would significantly reduce capital market access for US end users and businesses, restrict the ability of businesses to hedge exposures to changes in commodity prices, and increase the cost of everyday consumer goods, including food and gasoline.

Digital Assets

droppGroup Launches droppLink to Revolutionize AI Development and Management on Blockchain

Discover how droppGroup is revolutionizing AI and blockchain integration with droppLink, a groundbreaking platform that enhances AI development and management across multiple blockchains.

<